NZ - EECA Funding for Energy Initiatives

In the past, EECA used to energy audits as a means to obtain energy reduction throughout the industrial and commercial sectors. This has now changed to funding based on actual kWh's saved via several methods. The funding is targeted to provide enough funding to make the saving initiative proceed.

EECA presume most projects with a payback under 2 years are likely to proceed, so this is a cut off basis. Thus if the funding reduces the payback from 3 years to 2, applications are more likely to be successful. A key point to note is that savings need to be measured and verified over the payback period of the project. If all the savings don't result, a prorated amount of the funding needs to be paid back.

Types of funding opportunities:

Audit and Works - The most common option where funding of up to 40% of the total project cost is available. Most of these over the past few years have been lighting, but any energy saving technology can be a project. In fact, projects other than lighting are actually preferred.

Continuous Commissioning is another opportunity where a building is continually monitored and improved, to lower its energy use. A lot of the cost of this work is the consultant and contractors who are monitoring the performance, promoting ideas to reduce energy and implementing the ideas. The consultants then check to see if the expected reductions are being realised and look at the next best option.

Monitoring and Targeting - This is based on installing monitoring systems, continually reviewing this information and making improvements to obtain the savings. This can be installing sub-metering, building management systems or an overall monitoring and targeting programme.

Minimum funding for these is based on 5% kWh savings. These projects are not just a simple manner of filling in an application to EECA. As this is public money that is being dispensed, EECA require:

•Proposal/audit

•EECA template filled in

•Signed letter from the end user indicating the project will not proceed without funding

•Report on how the savings will be verified

•Firm quotes from suppliers

•Project timeframes

•Direct contracts with end users for larger projects

•Actual invoices provided as proof of supply

•Commissioning Certificate that work is completed to the expected outcome

•Ongoing monitoring installed

•Annual Verification Report

Smart Power is an EECA accredited partner for these projects and can apply for funding on your behalf, as well as provide all the aspects noted above to make the process as simple as possible for the client. The Smart Power fees are subsidised as part of the overall project. For more information on EECA Funding, contact Glenn: glenn@smartpower.co.nz or phone (04) 233 5116.